FedEx on Wednesday reported lower-than-expected results for the holiday quarter and gave a fiscal-year profit forecast below Wall Street estimates, the latest in a line of companies saying they were hurt by winter storms.
The world's No. 2 package delivery company said the unusual weather had disrupted operations, reduced shipping volumes and increased costs, decreasing operating income by about $125 million in the third quarter ended on Feb. 28.
But the company also said it was on track with its plan to improve earnings at the FedEx Express air delivery unit by $1.6 billion by the end of 2016.
For this fiscal year, the company expects to earn $6.55 to $6.80 a share, while analysts on average had forecast $6.89, according to Thomson Reuters I/B/E/S.
Shares of FedEx were down 0.2 percent at $138.29 in morning trading. (Click here for the latest stock price.)
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